NEW BRUNSWICK, NJ — The city Parking Authority plans to issue $3.9 million in notes to buy two properties that will one day house a parking garage near the site of the former Ferren Mall.
The Board of Commissioners approved the resolution last week, at its June 27 meeting. The state Local Finance Board previously green-lit borrowing for the project, the parking authority’s executive director, Mitchell Karon, said.
“The purpose of those notes is to acquire land parcels necessary in connection with the future construction of a parking deck facility to service the planned redevelopment project,” he said.
That project—known as The Hub @ New Brunswick Station—stands to bring mixed-use high-rise towers to the spot where the Ferren Mall and parking deck once stood, off Albany Street and across from the New Jersey Transit station. It will also include a parking garage.
When the project will be built remains unclear. Representatives for the New Brunswick Development Corporation, better known as Devco, have said the timeline and the specifics of the initiative largely depend on the market and which companies sign on to lease office or research space.
For its part, the parking authority has made moves to buy two properties to further the effort. One, an office building at 75 Paterson St., is set to cost $2.1 million. The other, a parcel that houses a closed Wells Fargo bank drive-thru, is slated to run $1.8 million—for a total of $3.9 million.
The land purchases should be “permanently funded” in 2018 or 2019 through the authority’s issuance of city guaranteed parking revenue bonds, according to the resolution.
In the meantime, to buy the properties, the authority found it necessary to authorize the issuance of these “short-term” notes, according to the resolution.
Demolition of the Ferren Mall and parking deck is still ongoing, Karon said. But the structure itself came down months ago.
When demolition work is finished, the parking authority plans to open a small, temporary parking lot near the site.